Dynamite Trio

Chart of the Day

Bitcoin’s active supply has declined by 33% from its April peak, where the price of Bitcoin topped $63k. Similar changes are observed in the HODL pattern of long-term holders, which has seen substantial growth since the beginning of 2021 — the massive selloff in May did nothing to impede the rate of HODLing by firm believers. Interestingly, previous bull runs often kick start when long-term holders supply reaches between the 60-70% region, and expands into a strong, multi-month rally. According to Glassnode, the long-term holder supply is currently at 66%. Nuff said. 

Talk of the Town

Three U.S. senators are jointly proposing a legislative exclusion for crypto companies that exempts miners, node operators, developers, and other non-custodial industry participants from crypto tax provision in the infrastructure bill. The bill, which seeks to fund infrastructure improvement projects with sterner tax enforcement on crypto entities, is met with strong pushback from the crypto community. Reasons of objection include concerns over the immediate ramifications of a broadened definition of “brokers” and the long-term impact of driving innovation offshore. The amendment proposed by Wyden, Lummis, and Toomey seeks to limit this definition and offer greater clarity in the language used in the provision.